Regional Victorians are once again under attack from the Allan Labor Government’s anti-gas agenda, with the closure of Solstice Energy compressed natural gas (CNG) pipeline. Nathalia residents and business owners will be hit hard by the closure of the town’s CNG closure by the end of 2026.
The Nationals’ Member for Shepparton District, Kim O’Keeffe said that is a “crushing blow” to the community of Nathalia.
“The closure will force 140 households and a number of commercial businesses into costly conversions, compounding already soaring costs and living expenses.
“The announcement has a significant impact, rising interest rates, and skyrocketing utility costs, and cost of living already stretching family budgets to the limit.
“And, for small businesses, the closure could be fatal. Equipment replacement, rewiring, and regulatory compliance costs threaten to erase already razor-thin margins.
“It was astounding to think that has been no warning, and we have heard of a local Nathalia business that recently spent $40,000 for the installation of natural gas itself and at least another $20,000 worth of equipment that they will now have to be replaced.
“Residents are feeling abandoned by both Solstice Energy and the Allan Labor Government, as the closure forces costly changes that they simply can’t afford”, Ms O’Keeffe said.
Switching bottled LPG or electric appliances will cost many households thousands of dollars, yet existing government rebate programs fail to cover the full expense, leaving residents significantly out-of-pocket.
To make matters worse, bottled LPG is typically more expensive per unit than pipped gas, meaning households will likely face higher ongoing bills even after completing costly conversions.
Those impacted need full funding of appliance conversions for affected homes and businesses, temporary subsidies to offset higher LPG costs.
“There needs to be an urgent review into the decision to withdraw gas services from regional areas like Nathalia without adequate replacement infrastructure.
“Without urgent intervention, the closure of Nathalia’s gas pipeline risks deepening financial hardship and business closures and driving more families out of regional Victoria.
“This is just another example of where the Allan Labor Government can’t manage money, can’t manage the cost of living crisis and regional Victorians are paying the price.”
Switching to bottled
